Foreign nationals are strictly limited in what sources of income they are authorized to accept and all payments are taxable unless an exception under a treaty or IRS code applies.
- B-1, B-2, VWB and VWT are prohibited from being employed but may be paid under the Honorarium Rule conditions.
- F-1 and J-1 students may be employed on and off-campus under certain circumstances. Off-campus (non-UW) employment requires specific work authorization from International Student Services (ISS) prior to accepting employment.
- F-1 students may be eligible for 12 months of Optional Practical Training (OPT).
- F-1 students in STEM fields may be eligible for a 17 month extension of their OPT.
- J-1 non-students may be employed on campus. Permission to work off campus (non-UW employment) is restricted and must be approved by the International Scholars Office (ISO) prior to accepting employment.
- H-1B, O and E-3 visas are restricted to temporary workers in specialty occupations.
- TN visas are restricted to Mexicans and Canadians workers in specialty occupations.
Award, Prize or Research Subject
Payment as a reward or recognition for a special achievement such as winning a judged competition or payment for participation as a research subject. Standard taxation rate: 30%
- Verify that Payment Can Be Issued to Foreign National
- Download Award, Prize or Research Subject Payments to a Foreign National (Checklist)
Employee Wages
Payments for services that an individual performs or carries out for the University as an employee. Graduated income tax tables apply.
- Verify that Payment Can Be Issued to Foreign National
- Download Employee Wage Payments to a Foreign National (Checklist)
- Download Required Forms and Documents Chart
- USCIS Form I-9 Form, Employment Eligibility Verification
- USCIS Form I9 Instructions for F-1 visa holder
- USCIS Form I9 Instructions for J-1 visa holder
- USCIS Form I9 Instructions for H-1B or TN visa holder
- Foreign National completes Glacier.
- Check IRS Publication 515 for available tax treaty
- Bookmark Payroll Office Foreign National Webpage
Honorarium
Payment to an individual for a presentation-oriented, guest lecture or invitational event. Standard taxation rate: 30%
- Read special rules for Honorarium Payments to Foreign Nationals
- Verify that Payment Can Be Issued to Foreign National
- Download appropriate invitation letter
- Letter A - requires B visa to enter U.S.
- Letter B - Visa Waiver Program
- Letter C - J-1 scholar already in U.S.
- Download Honorarium Payments to a Foreign National (Checklist)
- Complete UW Form 1631 – Honoraria Checklist for Invited Guest Speakers
- Foreign National completes UW Form 1007 – Foreign National Payment Data Sheet, Instructions
- Check IRS Publication 515 for available tax treaty
- IRS Form 8233 – Exemption From Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Nonresident Alien Individual, Instructions
Independent Contractor and Performer Services
Payments for services performed by individuals who are not employees and who meet the criteria on UW Form 1632. Standard taxation rate: 30%
- Verify that Payment Can Be Issued to Foreign National
- Download Independent Contractor or Performer Service Payments to a Foreign National (Checklist)
- Complete UW Form 1632 – Employee vs. Independent Contractor Classification Checklist
- Foreign National completes UW Form 1007 – Foreign National Payment Data Sheet, Instructions
- Check IRS Publication 515 for available tax treaty
- IRS Form W-BEN-E - Certificate of Status of Beneficial Owner for United States Tax Withholding and Reporting (Entities), Instructions
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
- IRS Form 8233 – Exemption From Withholding on Compensation for Independent (and Certain Dependent) Personal Services of a Nonresident Alien Individual, Instructions
Living Allowances
Payments made to support a foreign national coming to Seattle. Can be issued without an honorarium. Generally not considered taxable income.
- Download Living Allowance Payments to a Foreign National (no honorarium) (Checklist)
- Review Living Allowance section on the UW Travel Office website
Non-UW Scholarship
Scholarship payment to Non-UW students or Non-UW employees, such as a department awarding a scholarship to a student attending a different school or paying a Non-UW individual for participating in a training or conference.
- Verify that Payment Can Be Issued to Foreign National
- Download Non-UW Scholarships to a Foreign National (Checklist)
- Check IRS Publication 515 for available tax treaty
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
Royalty
Payments made for the use of intangible (royalty) property. Various tax rates apply up to 30% withholding - see IRS Publication 515 for specific details.
- Download Royalty Payments to a Foreign National (Checklist)
- Check IRS Publication 515 for available tax treaty
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
- IRS Form W-8EXP – Certificate of Foreign Government or Foreign Organization for United States Tax Withholding, Instructions
Scholarship and Fellowship Awards – paid through Student Fiscal Services
A one-time payment to assist a student in pursuing a course of study or research. Generally not considered taxable income if the recipient is a candidate for a degree and the award is used to pay for tuition, fees and/or other mandatory books, supplies, and equipment required for all students in course of study.
- Verify that Payment Can Be Issued to Foreign National
- Download Scholarship or Fellowship Award Payments to a Foreign National (Checklist)
- Foreign National completes UW Form 1007 – Foreign National Payment Data Sheet, Instructions
- Check IRS Publication 515 for available tax treaty
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
Service Payments to a Foreign Entity
Payments made to foreign companies or entities. Standard taxation rate: 30%
- Verify that Payment Can Be Issued to Foreign National
- Download Service Payments to a Foreign Entity (Checklist)
- Check IRS Publication 515 for available tax treaty
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
- IRS Form W-8EXP – Certificate of Foreign Government or Foreign Organization for United States Tax Withholding, Instructions
Stipend
Ongoing payment intended to support an individual engaged in academic activity at the UW. Standard taxation rate: 14%
- Verify that Payment Can Be Issued to Foreign National
- Download Stipend Payments to a Foreign National (Checklist)
- Check IRS Publication 515 for available tax treaty
- IRS Form W-8BEN – Certificate of Foreign Status of Beneficial Owner for United States Tax Withholding and Reporting (Individuals), Instructions
Travel Reimbursements
Payments for expenses incurred while traveling on University business. Generally not considered taxable income.
- Verify that Payment Can Be Issued to Foreign National
- Download Travel Reimbursement Payments to a Foreign National (Checklist)
- Review Visitors and Students section on the UW Travel Office website